Despite a drop last Friday (May 16), iron ore prices remained above US$100/ton, staying the second consecutive week of growth. The price of 62% Fe grade iron ore fines from Australia to China fell to US$100.9, following a peak of US$102.6 last week, the highest since April 4.

The weekly increase was US$2.85 or 2.9%, contributing to a US$3.05 or 3.1% increase this month and a US$0.3 or 0.29% growth year-to-date.

Although China's steel inventories are declining, cooling optimism over US-China tariff reductions and weakening steel prices have restricted iron ore trading. A slight decrease in China's daily molten iron output also contributed to the decline last Friday.

Market participants foresaw a fluctuating trend for iron ore in the near term, influenced by the steel market's entering its traditional slow season despite healthy steel mill profits.